david,
Your talk with IR confirms CEGE is using GAAP, at least.
This is why I like CEGE and other companies that have stakes in hot, volatile companies. They can move the shares when the mo-mo players are bidding up prices, get a big hoard, and wait patiently for the next such spike. CEGE did exactly this. Personally, I hope CEGE sold a few hundred K in the $300-400 range. Kinda doubt it, but we'll see very shortly, if so. This way CEGE gets paid ungodly sums for its earlier R&D.
That on top of being a fine little biotech in its own right, currently being blasted along with all the crap in a reversal. It just doesn't get any better than this. Sold more puts today.
WRT to buying late stage compunds, I would expect CEGE to buy something related to the indications CEGE is currently addressing. Makes the marketing more efficient, gets the sales force (if inhouse) warmed up, etc. Example, see LGND, a biotech turning profitable with little niche drugs to pave the way for the bigger ones, and run by former pharma managers who have marketed drugs before.
Cheers, Tuck |
